flexiblefullpage -
billboard - default
interstitial1 - interstitial
Currently Reading

Cost hikes drive nearly one million renters out of homeownership qualification in 2021

Codes and Standards

Cost hikes drive nearly one million renters out of homeownership qualification in 2021

Household income needed to pay a mortgage rose to $62,872 from $55,186.


By Peter Fabris, Contributing Editor | January 11, 2022
Chart

Courtesy Pixabay

Cost hikes last year priced out nearly one million renters from the ranks of homeowners, according to a recent REALTORS study.

The income a household needs to pay a mortgage for a median-priced home rose in 2021 to $62,872, up from $55,186 in 2020. That figure stems from the calculation of income a household needs to pay the mortgage affordably so that monthly mortgage payments with interest do not exceed 25% of income.

The home price hike makes it more difficult for many renters to qualify for home loans. The median existing-home sales price averaged $345,442 in 2021, a 16.4% increase from the median sales price of $296,700 in 2020.

Based on the above figures, the National Association of Realtors estimated that the number of renter households who can pay the mortgage affordably in the U.S. declined from 8.75 million to 7.71 million.

Related Stories

| Aug 16, 2022

DOE funds 18 projects developing tech to enable buildings to store carbon

The Department of Energy announced $39 million in awards for 18 projects that are developing technologies to transform buildings into net carbon storage structures.

| Aug 11, 2022

Report examines supposed conflict between good design and effective cost management

A report by the American Institute of Architects and the Associated General Contractors of America takes a look at the supposed conflict between good design and effective cost management, and why it causes friction between architects and contractors.

| Aug 10, 2022

U.S. needs more than four million new apartments by 2035

Roughly 4.3 million new apartments will be necessary by 2035 to meet rising demand, according to research from the National Multifamily Housing Council (NMHC) and National Apartment Association.

| Aug 9, 2022

Work-from-home trend could result in $500 billion of lost value in office real estate

Researchers find major changes in lease revenues, office occupancy, lease renewal rates.

Legislation | Aug 8, 2022

Inflation Reduction Act includes over $5 billion for low carbon procurement

The Inflation Reduction Act of 2022, recently passed by the U.S. Senate, sets aside over $5 billion for low carbon procurement in the built environment.  

Legislation | Aug 5, 2022

D.C. City Council moves to require net-zero construction by 2026

The Washington, D.C. City Council unanimously passed legislation that would require all new buildings and substantial renovations in D.C. to be net-zero construction by 2026.

| Aug 4, 2022

Newer materials for green, resilient building complicate insurance underwriting

Insurers can’t look to years of testing on emerging technology to assess risk.

Codes and Standards | Aug 3, 2022

Some climate models underestimate risk of future floods

Commonly used climate models may be significantly underestimating the risk of floods this century, according to a new study by Yale researchers.

Codes and Standards | Aug 2, 2022

New tools help LEED projects reach health goals

The U.S. Green Building Council now offers tools to support the LEED Integrative Process for Health Promotion (IPHP) pilot credit.

Codes and Standards | Jul 29, 2022

Few projects and properties are being built beyond code

Clients and architects disagree on how well building to code provides resilience, according to a recent report by the American Institute of Architects (AIA) in partnership with Owens Corning.

boombox1 - default
boombox2 -
native1 -

More In Category




halfpage1 -

Most Popular Content

  1. 2021 Giants 400 Report
  2. Top 150 Architecture Firms for 2019
  3. 13 projects that represent the future of affordable housing
  4. Sagrada Familia completion date pushed back due to coronavirus
  5. Top 160 Architecture Firms 2021

 


Magazine Subscription
Subscribe

Get our Newsletters

Each day, our editors assemble the latest breaking industry news, hottest trends, and most relevant research, delivered to your inbox.

Subscribe

Follow BD+C: